Department of Homeland Security Daily Open Source Infrastructure Report for 16 March 2007 Current Nationwide Threat Level is For info click here http://www.dhs.gov/ Daily Highlights • The Associated Press reports the Federal Aviation Administration has grounded all RegionsAir planes −− stranding passengers at airports in Morgantown, Clarksburg, and Parkersburg, West Virginia −− due to problems with the carrier's training and certification program. (See item 14) • The Los Angeles Times reports a potentially deadly parasite from Latin America, called Chagas, has become one of the latest threats to the blood and organ supplies in the U.S., especially in Los Angeles. (See item 20) • The Department of Homeland Security said on Wednesday, March 14, it has created a unit to combat the threat posed by "homegrown terrorists" meaning citizens or legal residents who plot attacks from inside the nation's borders. (See item 24) DHS Daily Open Source Infrastructure Report Fast Jump Production Industries: Energy; Chemical Industry and Hazardous Materials; Defense Industrial Base Service Industries: Banking and Finance; Transportation and Border Security; Postal and Shipping Sustenance and Health: Agriculture; Food; Water; Public Health Federal and State: Government; Emergency Services IT and Cyber: Information Technology and Telecommunications; Internet Alert Dashboard Other: Commercial Facilities/Real Estate, Monument &Icons; General; DHS Daily Report Contact Information Energy Sector Current Electricity Sector Threat Alert Levels: Physical: ELEVATED, Cyber: ELEVATED Scale: LOW, GUARDED, ELEVATED, HIGH, SEVERE [Source: ISAC for the Electricity Sector (ES−ISAC) − http://www.esisac.com] 1. March 15, Federal Energy Regulatory Commission — FERC approves 83 NERC reliability standards. The Federal Energy Regulatory Commission (FERC) acted Thursday, March 15, to assure the reliability of the nation’s bulk power system by finalizing 83 reliability standards 1 proposed by the Commission−certified electric reliability organization. Chairman Joseph T. Kelliher observed: “The Commission takes a landmark step in adopting for the first time mandatory and enforceable reliability standards in the United States. Last summer, we set record power demand levels in eight regions of the country. It was the greatest challenge to reliability of the interstate grid since the August 2003 blackout. With our action today, the U.S. is better prepared to meet reliability challenges this summer.” The final rule approves 83 of 107 proposed reliability standards, as well as six of the proposed eight regional differences and the Glossary of Terms submitted by the North American Electric Reliability Corporation (NERC). These mandatory reliability standards apply to users, owners and operators of the bulk power system designated by NERC through its compliance registry procedures. Both monetary and nonmonetary penalties may be imposed for violations of the standards. Chairman Kelliher's Statement: http://www.ferc.gov/press−room/statements−speeches/kelliher/ 2007/03−15−07−kelliher−E−12.asp Source: http://www.ferc.gov/press−room/press−releases/2007/2007−1/03 −15−07−E−12.asp 2. March 15, Associated Press — Study: Coal industry faces bleak future. The coal industry faces a bleak future unless ways are developed on a commercial scale to capture and store carbon dioxide in the campaign against global warming, according to a study entitled, "The Future of Coal −− Options for a Carbon Constrained World," released Wednesday, March 14. The report by the Massachusetts Institute of Technology (MIT) says coal, which accounts for half of the country's electricity production, will remain the fuel of choice to produce electricity in the United States because it is relatively cheap and abundant. But if carbon limits are imposed to address climate change, that could change unless the government and industry develop a program to capture and store the tens of millions of tons of carbon dioxide that now spew from coal−burning smokestacks into the atmosphere. A central message of the MIT report is that carbon capture from coal burning is technically and economically possible, but that it has yet to be proven on the broad commercial scale that would be needed if limits on carbon emissions are imposed. Study: http://web.mit.edu/coal/ Source: http://www.examiner.com/a−619081~Study__Coal_Industry_Faces_ Bleak_Future.html 3. March 13, Associated Press — Chevron drops plans for LNG terminal on Mexico's Pacific coast. Chevron Corp. has dropped plans to build a $650 million liquefied natural gas terminal near Mexico's Coronado Islands, ending a four−year battle with environmentalists. The energy company last month withdrew the three key Mexican permits required to develop the project, said Chevron spokesperson Margaret Cooper. Chevron decided to instead send natural gas supplies from the Greater Gorgon gas fields off northwest Australia to Japan, Cooper said. The company has not given up on developing an LNG facility in North America. Chevron is the latest company to abandon plans to build an LNG terminal in Mexico's Baja California state. ConocoPhillips Co. dropped plans for a terminal in Rosarito, 15 miles south of San Diego. Marathon Oil Corp. was forced out in 2004 when municipal authorities seized its beachfront property in the crowded border city of Tijuana. Sempra Energy is building an LNG terminal in Ensenada, Mexico, about 50 miles south of San Diego. Source: http://www.mercurynews.com/news/ci_5426901 4. 2 March 13, New London Day (CT) — Millstone Unit 3 examined for potential welding flaws NRC also seeking corrective action at 39 other nuke plants. The owner of the Unit 3 reactor at Millstone Power Station in Connecticut is one of dozens across the country taking action to strengthen metal welds that have the potential to crack and leak. The federal Nuclear Regulatory Commission (NRC) issued “commitment action letters” to owners of 40 “pressurized water” reactors Monday, March 12, including Millstone owner Dominion. The letters confirm that reactor owners at most of the plants would inspect and, if necessary, repair or strengthen welds on nozzles used to distribute coolant during planned shutdowns this year. The danger of cracking welds, NRC spokesperson Neil Sheehan said, “is that if some of these welds were to rupture, there could be a loss−of−coolant accident that could pose a challenge to reactor operators as they sought to safely shut down the plant.” Last fall, operators found flaws in welds made of Alloy 82 and 182 metals in the pressurizer at the Wolf Creek reactor near Burlington, Kansas. The “size and nature” of flaws in welds at the Wolf Creek reactor “led NRC staff to conclude the industry must accelerate its planned actions for the remainder of the affected plants,” the NRC said. Source: http://www.theday.com/re.aspx?re=8a3401ca−f9c0−4a15−8c52−c6e b1e7addbe [Return to top] Chemical Industry and Hazardous Materials Sector Nothing to report. [Return to top] Defense Industrial Base Sector 5. March 15, Government Accountability Office — GAO−07−360: Joint Strike Fighter: Progress Made and Challenges Remain (Report). The Joint Strike Fighter (JSF) program −− a multinational acquisition program for the Air Force, Navy, Marine Corps, and eight cooperative international partners −− is the Department of Defense’s (DoD) most expensive aircraft acquisition program. DoD currently estimates it will spend $623 billion to develop, procure, and operate and support the JSF fleet. The JSF aircraft, which includes a variant design for each of the services, represents 90 percent of the remaining planned investment for DoD’s major tactical aircraft programs. In fiscal year 2004, the JSF program was rebaselined to address technical challenges, cost increases, and schedule overruns. This report −− the third mandated by Congress −− describes the program’s progress in meeting cost, schedule, and performance goals since rebaselining and identifies various challenges the program will likely face in meeting these goals in the future. The Government Accountability Office (GAO) is recommending that DoD limit annual production quantities to no more than 24 aircraft per year until each variant’s basic flying qualities have been demonstrated in flight testing now scheduled in the 2010 time frame. DoD non−concurred, believing its current strategy provides a balance of technical risk, financial constraints, and operational needs. Highlights: http://www.gao.gov/highlights/d07360high.pdf Source: http://www.gao.gov/cgi−bin/getrpt?GAO−07−360 6. March 14, GovExec — Academics urge Congress to go beyond acquisition panel proposals. 3 The recent recommendations of an acquisition panel should be pushed further to improve federal buying, according to two professors. In a paper on emerging contracting policy and practices, Steven Schooner and Chris Yukins, co−directors of The George Washington University's Procurement Law Center, reviewed suggestions made by panelists on the Services Acquisition Reform Act (SARA) Advisory Committee. The group was convened under the 2004 Defense Authorization Act to look at government buying practices. The professors commended the SARA panel for identifying and addressing the shrinking acquisition workforce, an "explosion" in service contracting that has outpaced growth in purchases of products, a tendency for agencies to favor large firms and the increased use of orders placed through large umbrella contracts. Schooner and Yukins agreed with the basic tenets of accountability and transparency behind a series of panel recommendations on public notice, bid protests and rules for smaller contacts. But the academics urged that all purchases be subject to guidelines for a clear statement of requirements, disclosure of bid evaluation criteria, reasonable response time and documentation of the award decision. They noted that the Department of Defense already applies many of those requirements to interagency purchases worth more than $100,000. Paper: http://papers.ssrn.com/sol3/papers.cfm?abstract_id=969490 Source: http://www.govexec.com/story_page.cfm?articleid=36354&dcn=to daysnews [Return to top] Banking and Finance Sector 7. March 15, Associated Press — Experts warn of possible identity theft risk. most digital copiers manufactured in the past five years have disk drives −− the same kind of data−storage mechanism found in computers −− to reproduce documents. As a result, the seemingly innocuous machines that are commonly used to spit out copies of tax returns for millions of Americans can retain the data being scanned. If the data on the copier's disk aren't protected with encryption or an overwrite mechanism, and if someone with malicious motives gets access to the machine, industry experts say sensitive information from original documents could get into the wrong hands. Although industry and security experts were unable to point to any known incidents of identity thieves using copiers to steal information, they said the potential was very real. Source: http://www.cnn.com/2007/TECH/ptech/03/14/photocopier.risks.a p/index.html 8. March 15, Government Accountability Office — GAO−07−154: Financial Market Regulation: Agencies Engaged in Consolidated Supervision Can Strengthen Performance Measurement and Collaboration (Report). As financial institutions increasingly operate globally and diversify their businesses, entities with an interest in financial stability cite the need for supervisors to oversee the safety and soundness of these institutions on a consolidated basis. Under the Comptroller General's Authority, GAO reviewed the consolidated supervision programs at the Federal Reserve System, Office of Thrift Supervision (OTS), and Securities and Exchange Commission (SEC) to (1) describe policies and approaches that U.S. consolidated supervisors use to oversee large and small holding companies; (2) review the management of the consolidated supervision programs, including use of program objectives and performance measures; and (3) evaluate how well consolidated supervisors are collaborating with other supervisors and each other in their activities. In conducting this study, GAO 4 reviewed agency policy documents and supervisory reports and interviewed agency and financial institution officials. Highlights: http://www.gao.gov/highlights/d07154high.pdf Source: http://www.gao.gov/new.items/d07154.pdf 9. March 15, CNET News.com — Microsoft probes possible IE 7 phishing hole. Microsoft is investigating a possible vulnerability in Internet Explorer 7 that could help cybercrooks launch phishing scams, the company said Wednesday, March 14. An attacker can use an error message displayed by the latest Microsoft browser to send Web surfers to malicious Websites that will display with the address of a trusted site, such as a bank, a developer wrote on his Website. Microsoft is looking into the issue, a representative said. "Microsoft is not aware of any attacks attempting to use the reported vulnerability," the representative said in an e−mailed statement. Source: http://news.com.com/Microsoft+probes+possible+IE+7+phishing+ hole/2100−1002_3−6167410.html?tag=cd.lede 10. March 14, Department of the Treasury — Treasury finalizes rule against Banco Delta Asia. The U.S. Department of the Treasury today finalized its rule against Banco Delta Asia SARL (BDA) under Section 311 of the USA PATRIOT Act. When the final rule takes effect in 30 days, U.S. financial institutions will be prohibited from opening or maintaining correspondent accounts for or on behalf of BDA. This action bars BDA from accessing the U.S. financial system, either directly or indirectly. "Our investigation of BDA confirmed the bank's willingness to turn a blind eye to illicit activity, notably by its North Korean−related clients," said Stuart Levey, Treasury's Under Secretary for Terrorism and Financial Intelligence (TFI). "In fact, in exchange for a fee, the bank provided its North Korean clients access to the banking system with little oversight or control." Abuses at the bank included the facilitation of financial transactions related to illicit activities, including North Korea's trade in counterfeit U.S. currency, counterfeit cigarettes, and narcotics. In addition, several front companies may have laundered hundreds of millions of dollars in cash through the bank. A copy of the final rule may be accessed at the following link: http://www.fincen.gov/bda_final_rule.pdf. Source: http://www.ustreas.gov/press/releases/hp315.htm 11. March 13, The Oregonian — Animal activists escalate threats to brokerage's executives. Animal rights activists are targeting executives of a Portland, OR, brokerage to coerce the firm into severing its distant ties to a global animal−testing company. Activists held protests last December outside the houses of two of Wachovia Securities' top executives. Then they posted photos of their homes on the Internet, along with their names, addresses and phone numbers. The campaign then took a new and even more personal tack last week, when an underground group crept onto the property of 36−year−old Jason Bratt, a Wachovia financial adviser, tagging his home and car with threatening graffiti. A spokesperson for Wachovia Securities, Tony Mattera, said the Richmond, VA, brokerage was cooperating with investigators. The Federal Bureau of Investigation, which characterizes the Animal Liberation Front as a leading domestic terrorist threat, is looking into the ALF vandalism, FBI spokesperson Beth Anne Steele confirmed. Source: http://www.oregonlive.com/news/oregonian/index.ssf?/base/new s/1173758147100560.xml&coll=7 5 [Return to top] Transportation and Border Security Sector 12. March 15, Washington Post — Coast Guard cancels patrol boat contract. The Coast Guard took the unusual step on Wednesday, March 14, of canceling a troubled $600 million patrol boat program, saying the service could manage the effort more efficiently than two of the nation's largest defense contractors. The Coast Guard had allowed broad latitude to develop the Fast Response Cutter, shifting significant control to the contractors. But the effort stalled after concerns emerged last year about the design of the vessel. By managing the work itself and rebidding the development work, Coast Guard officials estimated they would save enough money to buy an extra ship and address a patrol boat shortage by getting ships built faster. Development of the Fast Response Cutter is part of a $24 billion Coast Guard effort, known as Deepwater, to modernize and greatly expand its aging fleet of ships, planes, and helicopters. The program has faced heavy criticism from Congress as government auditors have identified design flaws in three ship programs and attributed the problems in part to the service's decision to give so much control to the contractors. About $2.3 billion has been spent on the overall Deepwater effort. Source: http://www.washingtonpost.com/wp−dyn/content/article/2007/03 /14/AR2007031402370.html 13. March 15, Associated Press — Auditor: Chicago−area mass transit needs overhaul. The financial condition of the Chicago area's mass transit systems is so precarious that even doubling fares wouldn't generate enough money to bail them out, the state's top auditor said Thursday, March 15. Auditor General William Holland doesn't advocate such a drastic measure, but the scenario helps illustrate the financial straits he says the agencies −− the Chicago Transit Authority, Metra rail, and Pace suburban bus service −− are in. The audit suggests the General Assembly review the funding formula that relies on sales tax and hasn't been updated since 1983. It also suggests lawmakers look at ways to better organize the agencies and the Regional Transportation Authority that oversees them. Holland said the agencies have operating and capital needs this year of $800 million to $1 billion. Operating expenses over the last five years have increased at three times the rate of revenue, he said. Without more money, Holland warned, there will be more delays and service breakdowns. The metropolitan area relies heavily on mass transit, with one in eight people using it to get to work. Chicagoans are even more dependent on it, with one in four people riding trains and buses to their jobs. Audit: http://tinyurl.com/2zc6zx Source: http://www.jg−tc.com/articles/2007/03/15/ap−state−il/d8nsput g1.txt 14. March 14, Associated Press — FAA grounds RegionsAir, stranding passengers. Three northern West Virginia airports could be without commercial flights until May 1, when USAirways partner Colgan Air takes over service. The Federal Aviation Administration (FAA) last week grounded all RegionsAir planes, stranding passengers at airports in Morgantown, Clarksburg, and Parkersburg. Tennessee−based RegionsAir operates as American Connection and Continental Connection in six states including Iowa, Illinois, and Missouri. RegionsAir had served the West Virginia airports with flights to Cleveland since July 2006 but struggled 6 financially, finally announcing in November that it would sell the company. Bob Hammel, Morgantown airport director, said Continental has removed flights from all three West Virginia cities from its system. Problems with the carrier's training and certification program caused the grounding, said Laura Brown, a spokesperson for the FAA. Meanwhile, the authority that controls the Mid−Ohio Valley Regional Airport near Parkersburg is considering a lawsuit against RegionsAir to recover $43,000 for rent and services rendered. Source: http://www.usatoday.com/travel/flights/2007−03−14−regionsair −grounded_N.htm 15. March 14, Associated Press — New York rail safety probe urged. With data showing 572 upstate rail accidents in the past seven years have caused $34 million in damage, Senator Charles Schumer called Wednesday, March 14, for a joint federal probe of recent crashes by CSX freight trains, including Monday's blaze of fuel tankers in Oneida. It was the fifth derailment involving CSX Corp. in New York since December, which had prompted New York’s senators to urge a federal investigation into railroad safety across the state. National Transportation Safety Board investigators arrived Tuesday, March 13, at the crash site 20 miles east of Syracuse. On Wednesday, Schumer issued the report citing 23 other rail accidents in five counties of central New York from 2000 to 2006 that caused $2.3 million in damage, even higher totals in most other regions, and called for a joint investigation by the NTSB, Federal Railroad Administration, and Department of Homeland Security. Spokespeople for CSX and the Federal Railroad Administration responded that safety records have improved statewide and nationally last year and for the company both last year and so far this year. Source: http://www.businessweek.com/ap/financialnews/D8NS82100.htm [Return to top] Postal and Shipping Sector 16. March 14, Associated Press — Omaha businesses warned of suspicious mail. Two letters sent to financial institutions in Omaha have been linked to the same person who has been sending threats and pipe bombs to businesses in the Midwest, according to the U.S. Postal Service. Postal inspector David Margritz said other financial firms in the city have been warned to be on the lookout for suspicious mail after the two letters were attributed to "the Bishop." The man −− and investigators believe they are dealing with a man −− is suspected of sending at least a half−dozen threatening letters to financial institutions over the past 18 months and mailing two dud pipe bombs that arrived a day apart in Kansas City and Chicago in January. In his letters, the Bishop has demanded that financial companies move the prices of certain stocks to certain levels, often $6.66 −− an apparent reference to the Antichrist, corporate counterterrorism expert Fred Burton has said. Postal inspectors are offering a reward of up to $100,000 for information. The investigation also includes the FBI, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and local law enforcement agencies. Source: http://www.kctv5.com/Global/story.asp?S=6228913 [Return to top] Agriculture Sector 7 17. March 14, Animal and Plant Health Inspection Service — USDA distributes rabies vaccine in Alabama. Wildlife Services, a program within the U.S. Department of Agriculture’s (USDA) Animal and Plant Health Inspection Service, will distribute oral rabies vaccine baits across portions of central Alabama beginning on, or about March 20, to prevent the spread of raccoon rabies. Baits containing oral rabies vaccine will be distributed over rural areas using low−flying twin−engine aircraft while hand baiting will occur in populated regions using ground−based vehicles. The projected one−week program will target raccoons and result in the distribution of approximately 430,000 baits covering roughly 2,000 square miles in the Birmingham area. Since 2003, USDA has been cooperating with the Alabama Departments of Public Health and Agriculture and Industries, in addition to the Jefferson County Department of Health to vaccinate raccoons and prevent the westward movement of rabies into unaffected areas. This project is part of a larger effort to establish a rabies−free barrier extending north along the Appalachian Mountains. Source: http://www.aphis.usda.gov/newsroom/content/2007/03/rabial07. shtml [Return to top] Food Sector 18. March 14, Associated Press — Chiquita to pay $25 million in terror case. Banana company Chiquita Brands International said Wednesday, March 14, it has agreed to a $25 million fine after admitting it paid terrorists for protection in Colombia. The settlement resolves a lengthy Justice Department investigation into the company's financial dealings with paramilitaries and leftist rebels the U.S. government deems terrorist groups. In court documents, federal prosecutors said the Cincinnati, OH−based company and several unnamed high−ranking corporate officers paid about $1.7 million between 1997 and 2004 to the United Self−Defense Forces of Colombia, known as AUC for its Spanish initials. The AUC has been responsible for some of the worst massacres in Colombia's civil conflict and for a sizable percentage of the country's cocaine exports. Prosecutors said the company made the payments in exchange for protection for its workers. In addition to paying the AUC, prosecutors said, Chiquita made payments to the National Liberation Army, or ELN, and the leftist Revolutionary Armed Forces of Colombia, or FARC, as control of the company's banana−growing area shifted. Source: http://biz.yahoo.com/ap/070314/terrorism_bananas.html?.v=5 19. March 14, Associated Press — U.S. agencies track bird flu at ports. The U.S. government is trying to determine whether bird flu can contaminate the food supply and is cracking down on smuggling of pet birds and poultry that can spread the virus. The U.S. Food and Drug Administration said it is studying potential food contamination as part of a pandemic flu plan. Among the foods it regulates −− everything but meat, poultry and eggs −− the agency aims to pinpoint the foods and livestock feeds most likely to be tainted. Scientists are also trying to develop tests that will find the virus in foods. At the same time, the U.S. Department of Agriculture said it will double its anti−smuggling operations at U.S. ports, restaurants and markets. A team seized 360,000 pounds of prohibited poultry products in 31 special operations last year, Agriculture Secretary Mike Johanns said Wednesday, March 14. Source: http://news.moneycentral.msn.com/provider/providerarticle.as px?feed=AP&Date=20070314&ID=6614695 8 [Return to top] Water Sector Nothing to report. [Return to top] Public Health Sector 20. March 15, Los Angeles Times — Parasite is a growing concern for healthcare professionals. A potentially deadly parasite from Latin America has become one of the latest threats to the blood and organ supplies in the U.S., especially in Los Angeles, CA. Last year, two heart transplant patients at different Los Angeles hospitals contracted the parasitic disease, called Chagas, causing health authorities to issue a national bulletin. Within months, both patients subsequently died, although not directly from Chagas, according to the U.S. Centers for Disease Control and Prevention. The parasite, which is generally passed to humans from a blood−sucking insect, can feed over years on tissues of the heart and gastrointestinal tract. After decades, tissues can be eroded so much that the organs fail. Insect transmission of the parasite in the U.S. is rare, but public health and blood bank officials have been concerned about its increasing prevalence in the blood supply. In 1996, using an experimental test, the American Red Cross found that one in 9,850 blood donors in the Los Angeles area tested positive for the parasite. Two years later, it was one in every 5,400. By 2006, a more refined test detected the parasite in one in 3,800 donors. By contrast, HIV, which blood banks screen for, shows up in one of every 30,000 donors. Source: http://www.latimes.com/news/local/la−me−chagas15mar15,0,5645 224.story?coll=la−home−headlines 21. March 14, Agence France−Presse — Myanmar confirms two more bird flu outbreaks. Military−ruled Myanmar warned Wednesday, March 14, of two more possible outbreaks of the H5N1 bird flu virus in Yangon, the country's largest city, where four outbreaks have been confirmed this month. The suspected outbreaks were at quail and pheasant farms in two townships on the northern outskirts of the city, official media said. A total of 66 pheasants and 60 quails died at the farms, the official New Light of Myanmar newspaper reported. Initial tests found the birds died of the flu. Source: http://news.yahoo.com/s/afp/20070314/hl_afp/healthflumyanmar _070314201224;_ylt=AlhJFk0FyuUhbSQ_TccPLv2JOrgF 22. March 14, Reuters — Egyptian 10−year−old tests positive for bird flu. A ten−year−old Egyptian girl has tested positive for bird flu, becoming the 25th human case in the country, a World Health Organization (WHO) official said on Wednesday, March 14. "It occurred inside Aswan in an urban area, and we don't have much details at this point in time," said Hassan al−Bushra, regional adviser for communicable disease surveillance for the WHO. Source: http://www.reuters.com/article/worldNews/idUSL14633239200703 14 23. 9 March 10, News−Gazette (IL) — Chimps, humans share bacteria. Proximity between chimpanzees and people in a protected wildlife area in Uganda may be leaving them with more in common than an ancestor in the distant past. The animals also are apparently picking up human bacteria −− some of it with antibiotic resistance. The study in Uganda's Kibale National Park is the first to show such a transmission in a protected wildlife area and without direct contact between the animals and people. The burgeoning of resistant pathogens already is a human health threat, rendering commonly used antibiotics ineffective in some cases. But the spread of resistance has been thought to be largely a result of such developed−nation problems as over−prescription of antibiotics by doctors and widespread use of antibiotics in domestic animal feed. The researchers are now looking for similarities in bacteria and antibiotic resistance in people from farms around the park whose crops are raided by Kibale chimpanzees and other monkeys. Source: http://www.news−gazette.com/news/local/2007/03/10/chimps_hum ans_share_bacteria [Return to top] Government Sector 24. March 15, USA TODAY — Homeland Security team to focus on U.S. terrorists. The Department of Homeland Security (DHS) said Wednesday, March 14, it has created a unit to combat the threat posed by "homegrown terrorists" −− citizens or legal residents who plot attacks from inside the nation's borders. "This phenomenon presents a real and serious challenge to our nation," DHS Secretary Michael Chertoff told a Senate panel. Chertoff emphasized that violent extremists "represent a small, fringe element within the American Muslim community" and that members of that community have been "outspoken in their opposition to terrorist violence." He noted that the last major attack by homegrown terrorists was the Oklahoma City bombing of 1995. DHS's Chief Intelligence Officer Charles Allen's new unit will address all forms of extremist activity but will focus mainly on the threat from radicalized Muslims. The group has met with officials in 18 cities from Albany, NY, to Sacramento to get a handle on the problem. Chertoff said some Muslim groups are working with his office to combat radicalization. Source: http://www.usatoday.com/news/washington/2007−03−14−homegrown _N.htm?POE=NEWISVA [Return to top] Emergency Services Sector 25. March 15, Hilltop Times (UT) — Air Force changes its contingency response. Under the new Air Force Incident Management System, all Air Force installations will respond to emergencies the same way the civilian community has for years. The new system comes as a direct response to Homeland Security Presidential Directive 5, which after the response to Hurricane Katrina, called for the establishment of a single, comprehensive national system for managing domestic incidents. During Katrina, the Federal Emergency Management Agency (FEMA) requested assistance from the Department of Defense without knowing State National Guard forces had already been called in for the same mission. “Hurricane Katrina cemented the need for DoD 10 integration with civilian communities,” said Mike Monson, 775th Civil Engineer Squadron. “The Air Force’s answer is the Air Force Incident Management System.” Under the new system, the Air Force will use the same structure FEMA and all other federal, state, and local agencies use when responding to emergencies. Source: http://www.hilltoptimes.com/story.asp?edition=289&storyid=77 83 26. March 14, Federal Emergency Management Agency — President declares major disaster for Iowa. The head of the U.S. Department of Homeland Security’s Federal Emergency Management Agency (FEMA) Wednesday, March 14, announced that federal disaster aid has been made available for Iowa to supplement state and local recovery efforts in the area struck by severe winter storms during the period of February 23 to March 2, 2007. FEMA Director David Paulison said federal funding is available to state and eligible local governments and certain private nonprofit organizations on a cost−sharing basis for emergency work and the repair or replacement of facilities damaged by the severe winter storms in the counties of Benton, Black Hawk, Boone, Bremer, Buchanan, Butler, Calhoun, Cedar, Chickasaw, Clinton, Des Moines, Fayette, Floyd, Franklin, Greene, Grundy, Hamilton, Hardin, Henry, Howard, Humboldt, Iowa, Jackson, Jasper, Jefferson, Johnson, Jones, Keokuk, Lee, Linn, Louisa, Marion, Marshall, Mitchell, Muscatine, Pocahontas, Poweshiek, Story, Tama, Van Buren, Wapello, Washington, Winnebago, Winneshiek, Worth, and Wright. Source: http://www.fema.gov/news/newsrelease.fema?id=34822 27. March 14, News 14 (NC) — Terrorism drill tests first responders in North Carolina. A "bomb" went off Wednesday, March 14, at the former site of East Coast Bible College in west Charlotte, NC, and emergency crews were called in to respond to the simulated terrorist attack. The drill produced mass casualties and injuries in a real−life setting. The firefighters said the task was tough as they each carried about 15−20 victims down stairs as a team while trying to avoid debris on the ground. Crews will be working 12−hour shifts Wednesday, March 14, through Saturday, March 17. The first crews to respond were from Mecklenburg and Gaston counties, but other crews from around the state will join in as they would do for a real emergency. Source: http://www.news14charlotte.com/content/top_stories/default.a sp?ArID=135561 [Return to top] Information Technology and Telecommunications Sector 28. March 15, Websense — Trojan horse exploit with German lure. There are reports of new, malicious Websites which are designed to install Trojan horses. The Websites are hosted in Korea and Hong Kong. The sites attempt to exploit the Microsoft AdoDB / XML HTTP (MS06−014) vulnerability to download and install a Trojan downloader without end−user interaction. Users receive an email, written in German, requesting that they visit a Website to verify their order number. Upon visiting the site, the malicious code is automatically downloaded and run, assuming the user is not patched for the Microsoft vulnerability. The original site, which is hosted in Korea, appears to have been compromised. Source: http://www.websense.com/securitylabs/alerts/alert.php?AlertI D=751 11 29. March 15, Websense — Large Chinese sites hosting Trojan exploits. There are reports of new malicious Websites, designed to install Trojan horse and Password Stealing malicious code. The Websites are hosted in China and attempt to exploit several Microsoft vulnerabilities to download and install a Trojan downloader without end−user interaction. Among the sites are a popular Chinese book store hosted on Myrice. All sites appear to have been compromised. Source: http://www.websense.com/securitylabs/alerts/alert.php?AlertI D=752 30. March 14, US−CERT — Microsoft releases Windows Server 2003 Service Pack 2. Microsoft has released Windows Server 2003 Service Pack 2. This update package provides the following security enhancements: 1) The ability to simplify the creation and maintenance of the Internet Protocol security (IPsec) policy; 2) Group Policy support for non−broadcasting networks and Wi−Fi Protected Access 2 (WPA2) settings to allow Windows wireless client configuration; 3) Windows wireless client support for WPA2. US−CERT encourages affected administrators to apply this update package as soon as possible. Source: http://www.us−cert.gov/current/current_activity.html#mswsv03 s2 Internet Alert Dashboard To report cyber infrastructure incidents or to request information, please contact US−CERT at soc@us−cert.gov or visit their Website: www.us−cert.gov. Information on IT information sharing and analysis can be found at the IT ISAC (Information Sharing and Analysis Center) Website: https://www.it−isac.org/. [Return to top] Commercial Facilities/Real Estate, Monument &Icons Sector 31. March 15, Associated Press — Elevator explodes near Boston; two killed. An elevator exploded in an office building Wednesday, March 14, and authorities began investigating it as a murder−suicide after they found the bodies of a man and woman inside. Essex District Attorney Jonathan Blodgett said the deaths in downtown Lynn, near Boston, appeared to be a "domestic violence situation by use of an incendiary device." Two people were taken to hospitals with minor injuries, police said. Witnesses said a man pulled a woman into the elevator, and shortly afterward, an explosion engulfed the elevator, police said. Firefighters extinguished the blaze and found the bodies. Employees said the woman worked as a receptionist for a psychiatric clinic in the building. The blast shook the three−story building. Source: http://hosted.ap.org/dynamic/stories/E/ELEVATOR_EXPLOSION?SI TE=WUSA&SECTION=HOME&TEMPLATE=DEFAULT [Return to top] General Sector 32. March 15, USA TODAY — Al Qaeda No. 3 confesses to orchestrating 9/11, 31 other attacks. The suspected mastermind of the September 11 hijackings confessed at a military hearing at Guantanamo Bay, Cuba, that he organized those attacks plus many more, according to a 12 transcript released Wednesday, March 14, by the Pentagon. "I am responsible for the 9/11 operation from A to Z," Khalid Sheikh Mohammed told military investigators, the transcript says. Mohammed's statements came during secret hearings that began Friday on whether 14 alleged terrorist leaders should be declared "enemy combatants." If they are, they can be held indefinitely and prosecuted by military tribunals. The detainees would be tried under the new military commissions law signed by Bush in October. The 26−page transcript included responses to questions posed by investigators to Mohammed and others. Mohammed, who was arrested in 2003 in Pakistan, described himself as the military operational commander for al Qaeda's worldwide attacks. Read transcripts and summaries released by the Pentagon: http://www.defenselink.mil/news/Combatant_Tribunals.html Source: http://www.usatoday.com/news/washington/2007−03−14−gitmo−con fession_N.htm [Return to top] DHS Daily Open Source Infrastructure Report Contact Information DHS Daily Open Source Infrastructure Reports − The DHS Daily Open Source Infrastructure Report is a daily [Monday through Friday] summary of open−source published information concerning significant critical infrastructure issues. The DHS Daily Open Source Infrastructure Report is archived for ten days on the Department of Homeland Security Website: http://www.dhs.gov/iaipdailyreport DHS Daily Open Source Infrastructure Report Contact Information Content and Suggestions: Subscription and Distribution Information: Send mail to dhsdailyadmin@mail.dhs.osis.gov or contact the DHS Daily Report Team at (703) 983−3644. Send mail to dhsdailyadmin@mail.dhs.osis.gov or contact the DHS Daily Report Team at (703) 983−3644 for more information. Contact DHS To report physical infrastructure incidents or to request information, please contact the National Infrastructure Coordinating Center at nicc@dhs.gov or (202) 282−9201. To report cyber infrastructure incidents or to request information, please contact US−CERT at soc@us−cert.gov or visit their Web page at www.us−cert.gov. Department of Homeland Security Disclaimer The DHS Daily Open Source Infrastructure Report is a non−commercial publication intended to educate and inform personnel engaged in infrastructure protection. Further reproduction or redistribution is subject to original copyright restrictions. DHS provides no warranty of ownership of the copyright, or accuracy with respect to the original source material. 13